Bitcoin price recovered slightly to 8,674 USD on Sunday, after suffering slight correction yesterday.
Within the past three days, since May 31, the Bitcoin price has climbed from 8,000 USD to 8,800 USD, demonstrating a strong sign of recovery in a 9.5% rally and pushing the rest of the crypto market to the upside.
On major regulated crypto asset exchanges like Bitstamp, the bitcoin price dropped to as low as 8,000 USD on last Friday, sparking fears of a potential decline below 7,000 USD in an anticipated pullback. However, the cryptocurrency showed immediate recovery beyond 8,200 USD, a support level many technical analysts have emphasized as crucial for the near-term sustainability of Bitcoin.
On Thursday and Friday injected some excitement into Bitcoin trading as the coin touched the area above 9,000 USD for the first time since May 2018 and crashed to 8,000 USD in a matter of hours amid speculative positioning and profit-taking. Despite wild all thous wild gyrations, Bitcoin managed to stay in the green zone.
Bitcoin held the 8,000 USD support along with the 61.8% Fibonacci retracement level, and after recently breaking up the 8,500 USD level, the coin is getting very close to another test of the 8,800 USD resistance.
The recent gain was followed by lower than average levels of volume. This could be due to the weekend, but keep in mind that the recent rise of the past week was followed by a lower amount of volume (a low number of buyers).
The CEO of the blockchain-based crypto identity Civic has said that BTC could soon rip through more resistance levels and hit 12,000 USD. The Daily Hodl reports that Vinny Langham who was bearish on BTC a little while ago said that BTC’s newfound return to volatility makes him believe that the most important coin in the crypto market will reach 12,000 USD soon and the coin will then find consolidation around 10,000 USD.
Peter Schiff of Euro Pacific Asset management, however, consider that a sharp rebound that sent the bitcoin price 179% higher this year could soon fizzle. The veteran stockbroker said Bitcoin has not accurately recovered from 2018’s bearish sentiment, wherein its rate dropped from 20,000 USD to 3,200 USD in just 11 months. Adding that every bear market has fake rallies that attempt to “sucker in” the bulls, Schiff noted that the ongoing bitcoin price boom is one of the same things. He asserted that the bitcoin market has an abundance of fake buying sentiment because the cryptocurrency serves neither the purpose of money nor a store of value. He refuted bulls who believed bitcoin would play the role of a haven asset in times of a monetary crisis, adding that central banks and individual investors would always prefer gold because of its historical significance as money for thousands of years.
Crypto market daily recap
The cryptocurrency market is into the green today after suffering slight correction last 2 days.
Ethereum rose by 1.12% to 268.16 USD, while Ripple’s XRP added 2.44% to 0.4394 USD.
Bitcoin Cash and Litecoin were also on the rise, adding 1.36% and 1.12%, respectively.
However, EOS was the biggest loser today wiping out 6% of its market cap to 7.66 USD. Another loser today was TRON, which fell by 2.13%.
The best performers on the cryptocurrency market were Cardano and Stellar, rising by 5.7% and 4%, respectively.
The total value of the cryptocurrency market rose to 274.545 billion USD.
Bitcoin technical analysis
After breaking up the 8,500 USD area, Bitcoin is now facing the 8,8009,000 USD resistance area. Higher above lies the 9,200-9,300 USD zone, before reaching the 9,700-9,800 USD area which was the highest of May 2018, and that is the last barrier before BTC reaches 10,000 USD.
From below, the closest level of support is the 8,500 USD level, along with the mid-term ascending trend-line (marked in orange on the 4-hour chart). Further below is 8,400 USD before the next significant support lies at 8,200 USD. Further below lies 8,000 USD, 7,800 USD and 7,600 USD. The last is the past week’s low along with the 4-hour MA-100 and the mid-term ascending trend-line (shown on the 4-hour chart). Further below is 7,250 USD and 7,000 USD.